Afcons Infrastructure Looking At 20-25% Top-Line Growth In FY26

The order book is "well-diversified" and around 80% of the order book comes from government clients, according to Hitesh Singh, head of corporate strategy at the company. He emphasised the company's commitment to pursuing "good quality, high quality orders" through a robust risk management process.

The urban infrastructure segment, particularly metros and bridges, is expected to remain a dominant contributor, accounting for about 50% of the portfolio, moving forward, according to Singh.

"In Q4, every year, we do 15% to 20% more top line as compared to Q2 and Q3, which has not happened this year. And that has impacted the Q4," Jha said. Payment delays in Bangladesh and the Jal Jeevan Mission were among the reasons for the Q4 setback, he noted. 

The CFO also said that liquidity concerns in the broader economy prompted the company to adopt a cautious approach. "But at the same time, I think, we are seeing that the situation is improving as far as liquidity is concerned," he added. 

He confirmed that "sizable" payments for the Jal Jeevan Mission in Madhya Pradesh were received in April, with more anticipated for Uttar Pradesh projects in June.

"Last year, we had planned, because at the beginning of the year, there were no issues as such, and the problem in Bangladesh cropped up in August all of a sudden. Whereas, this financial year, we know what is happening in Bangladesh, and all our plans are calibrated," Jha said.

On the operational front, Singh acknowledged industry-wide difficulties in sourcing skilled and unskilled labour. "Yes, there is a challenge... in terms of both skilled and unskilled manpower."

He added that the company has "made adequate arrangements" and established tie-ups with many training institutes to manage staffing needs, though "on the ground, there are challenges".